On Friday I came into the session long 6% SSO and sold 2% before the open for 50.04. The market rallied a bit more then went into a long sideways. I stopped out 4% SSO at 49.57 and am going into the weekend flat all markets. There are 600,000 spent fuel rods on the Fukishima site, every rod used for the past 40 years for these 6 reactors, 4 spent fuel pools in trouble, along with 3 reactors. I don't trust TEPCO enough to get pumps working, so if they do the market will spike upward on Monday.
I'm publishing an extended view across markets due to the impending turn of I1. This will be posted in 2 parts, this commentary and an Addendum.
The wave count is 3 down from the Feb highs and (so far) 3 up from Wednesday's lows. EWI says downside is imminent. I1 is up through next Friday so I can't short.
The dollar is getting pasted and it's been awhile since I posted on it. I have not been using it to hedge long stocks since bonds bottomed and became more viable. Both show reverse correlation with the stock market. My dollar count shows we are in an ending diagonal closing in on the low last November of 75.24. This should mark Minor 2 low.
Bonds are another way to position against the stock market when I1 peaks. Interestingly, long bond trade is only good through the first week of April, just like the dollar. I held long bond up until Wednesday as a hedge to long stock ETFs, but sold them on evidence of the stock market bottom. If the stock market does manage to rally into the I1 peak I should be able to buy the bonds lower.